RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SAU/61/Add.2 
1 November 2005 
 (05-5142) 
Working Party on the Accession  
of the Kingdom of Saudi Arabia Original:  English 
 
 
  
REPORT OF THE WORKING PARTY ON THE 
ACCESSION OF THE KINGDOM OF SAUDI ARABIA 
 
Addendum
 
 
Part II – Schedule of Specific Commitments in Services 
List of Article II MFN Exemptions 
 
 
 As indicated in paragraph 316 of the Report of the Working Party on the Accession of Kingdom of Saudi Arabia (WT/ACC/SAU/61), the Schedule of Specific Commitments on Services 
resulting from the negotiations between the Kingdom of Saudi Arabia and WTO Members is annexed 
to the Protocol of Accession of the Kingdom of  Saudi Arabia and is reproduced hereunder. 
 
 
_______________ 
 
  
  
 WT/ACC/SAU/61/Add.2 
Page 2 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
I. HORIZONTAL COMMITMENTS 
All Sectors and Sub-Sectors of Services 
included in this Offer (3) (i) Commercial presence for all 
services listed in this Schedule, other than business services (as 
listed below)
1 subject to 
incorporation under the Companies Act either as joint-
stock companies or as limited 
liability companies. 
  
 
(ii)  Commercial presence for 
business services (as listed 
below)
1 subject to formation of 
a company, and registration of such a company under the 
Professional Companies Law.  
 (3) (i) Foreign service suppliers 
require approval from the Saudi Arabian General Investment 
Authority for establishing 
commercial presence in Saudi Arabia according to the Foreign 
Investment Law of April 2000 
and Article 5:3 of the Regulation of the Foreign 
Investment Act.  
 (ii)  Non Saudi nationals may 
acquire the right to own real 
estate in Saudi Arabia by 
succession.  Foreign establishments authorized to 
carry on their activities in the 
Kingdom under the Foreign 
Investment Law may own real 
estate in accordance with the present laws and regulations 
governing foreign ownership of 
real estate. 
 (iii) Non Saudi business entities and 
foreign natural persons are 
subject to income tax while Saudi entities and Saudi 
individuals are subject to Zakat. 
  Future changes in Saudi tax 
code will not be less favourable 
to foreign service providers 
than the existing code.  
 
 
 All modes of supply: In all respects other 
than Zakat, taxation measures will be applied in conformity with Articles II and 
XVII and all other relevant provisions of 
the GATS. 
                                                      
1 Professional Services  (1A), as in document W/120.   
  WT/ACC/SAU/61/Add.2
 Page 3Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 (iv) Foreign service entities and 
foreign natural persons shall have access to subsidies 
available in the country. 
However some subsidies on certain services will be 
available to Saudis only. 
 (4) Unbound, except for measures 
concerning the entry and temporary stay of natural persons in the 
following categories: 
 (i) Business Visitors
 
 A natural person who stays in Saudi 
Arabia, without acquiring remuneration from within Saudi 
Arabia and without engaging in 
making direct sales to the general 
public or supplying services, for the 
purposes of participating in business meetings, business contacts 
including negotiations for the sale of 
services and/or other similar activities including those to prepare 
for establishing a commercial 
presence in Saudi Arabia. Entry and stay shall be for a period of no more 
than 180 days, including multiple 
entries. (4)  Unbound, except as in the column 
for limitation on market access 
   
 WT/ACC/SAU/61/Add.2 
Page 4 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 (ii) Intra-corpor ate transferees (ICT)  
  Intra-corporate transferees of 
managers, executives and specialists 
(as defined below), who have work experience for a period of at least 
three years in the same field prior to 
the date of application for entry into the Kingdom, to an affiliate in Saudi 
Arabia of a juridical person.  Entry 
and stay of such managers, executives and specialists shall be 
subject to the following conditions: 
  - Their number shall be limited 
to 25% of the total workforce 
of each service supplier. However, a minimum of three 
persons will be allowed.  
Alternatively to the above, the 
service supplier may have the 
following option, the number of managers, executives and 
specialists of each service 
supplier shall be limited to 15%; and the number of other 
foreign employees (i.e. other 
than managers, executives, or specialists) of each service 
supplier shall be limited to 
10%, or vice versa. However, a minimum of two ICT will be 
allowed as compliant with the 
15% threshold.   
 
 - Their entry and stay shall be for 
a period of two years, renewable for similar periods.    
  WT/ACC/SAU/61/Add.2
 Page 5Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 - Certain positions in a company 
may be reserved for Saudi nationals in all categories. 
These positions are recruitment 
and personnel, receptionists, cashiers, civil security guards, 
and transaction (government 
relations) follow up. 
 
Definitions
: 
 Managers
:  Persons within an 
organization, who primarily direct the 
organization or a department or sub-division of the organization, supervise and 
control the work of other supervisory, 
professional or managerial employees, have the authority to hire or fire or 
recommend hiring, firing or other 
personnel action (such as promotion or 
leave authorisation) and exercise 
discretionary authority over day-to-day operation, does not include first-line 
supervisor unless the employees 
supervised are prof essional, nor does 
include employees who primarily perform 
tasks necessary for the provision of the 
service.  
Executives
:  Persons within an 
organization, who primarily direct the management of the organization, establish 
the goals and policies of the organization, 
exercise wide latitude  in decision-making 
and receive only general supervision or 
direction from higher-l evel executives, the 
board of directors or stockholders of the business.  Executives would not directly  
 WT/ACC/SAU/61/Add.2 
Page 6 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
perform tasks related to the actual 
provision of service or services of the organization. 
 
Specialists
:  Persons within an 
organization who possess knowledge at an 
advanced level of expertise and who 
possess proprietary knowledge of the organizations services, research, 
equipment, techniques or management. 
 (iii) Contractual service suppliers
 
 
 Employees of contractual service 
suppliers, i.e. employees of juridical 
persons with no commercial 
presence in Saudi Arabia, who have obtained a service contract in Saudi 
Arabia requiring the presence of 
their employees in order to fulfil the 
contract. Entry and stay of such 
persons shall be for a period of no more than 180 days which would be 
renewable. 
  Entry of such persons shall be 
allowed only for the  following 
sub-sectors on business services: 
 
 - Legal services  
  (Part of CPC  861)  - Architectural services  
  (CPC 8671) 
 - Urban planning and landscape 
architectural services  
(CPC 8674) 
 - Engineering services  
(CPC 8672)  
  WT/ACC/SAU/61/Add.2
 Page 7Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 - Integrated engineering services 
(CPC 8673) 
 - Related scientific and technical 
consulting  
(CPC 8675) 
 - Technical testing & analysis 
services  
(CPC 8676) 
 - Translation services  
(CPC 87905) 
 - Environmental services 
(all-sub sectors)  
  (CPC 94010 + 94020 + 9403 
+ 9404 + 9405 + 9406 + 9409) 
 - Services incidental to mining 
(CPC 883 + 5115) 
 - Management consulting 
services  
(CPC 8650) 
 - Services related to management 
consulting  
(CPC 8660) 
 - Maintenance and repair of 
equipment (not including 
maritime vessels, aircraft or other transport equipment)  
(CPC 633 + 8861-8866)  
 - Accounting, auditing & 
bookkeeping  
(CPC 8621 + 8622) 
 - Medical & dental services 
(CPC 9312) 
 - Inter-disciplinary Research and 
Development Services (CPC 85300) 
 - Computer & related services 
(CPC 841-845 + 849) 
  
 WT/ACC/SAU/61/Add.2 
Page 8 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 - Construction and related 
engineering services (CPC 511-518) 
 - Travel Agency and Tour 
Operator services, excluding for Umra and Hajj 
(CPC 7471) 
 - Restaurant Services, including 
catering services (except bars, 
nightclubs, etc.) 
(CPC 6421 + 6422 + 6423)  
  WT/ACC/SAU/61/Add.2
 Page 9Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 (iv) Independent Professionals  
  Independent Professionals (i.e. 
natural persons) as part of a service 
contract with juridical person in Saudi Arabia for rendering 
professional services in which he/she 
possesses the necessary academic credentials and professional 
qualifications with three years 
experience in the same field.  Their entry and stay shall be for a period 
of 180 days, which may be 
renewable.   
 
 Entry of such persons shall be 
allowed only for the following: 
 
 - Computer & related services 
(CPC 841-845 + 849) 
 - Construction & related 
engineering services (CPC 512, 513, 516 + 517) 
 - Accounting, auditing and 
bookkeeping services (CPC 8621 + 8622) 
 - Taxation services 
(CPC 87905) 
 - Architectural services 
(CPC 8671) 
 - Pilot & Crews 
- Legal services 
(part of CPC 861) 
 - Medical & dental services 
(CPC 9312) 
 - Interdisciplin ary Research and 
Development Services (CPC 85300)    
 WT/ACC/SAU/61/Add.2 
Page 10 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 - Management consulting 
services (CPC 8650) 
 - Building – cleaning services  
(CPC 874) 
 
 For other education services (only 
Thai cooking and Thai language (as part of CPC 9290)), entry and stay 
shall be for a period of 90 days, 
which would be renewable for similar period. 
 
(v) Installers and maintainers
 
 
Qualified specialists supplying installation 
or maintenance services.  The supply of that service has to occur on a contractual 
basis between the builder of the 
machinery or equipment and the owner of 
that machinery or equipment, both of 
them being juridical persons.  Temporary entry is granted for a period of stay of no 
more than 90 days which would be 
renewable.  
  WT/ACC/SAU/61/Add.2
 Page 11Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
II.  SPECIFIC SECTOR COMMITMENTS 
1. BUSINESS SERVICES  
A. Professional Services   
a. Legal Services 
 Consultancy on the law of 
jurisdiction where the services 
supplier is qualified as a lawyer and 
on international law 
 (Part of  CPC  861) (1) None 
(2) None (3) Foreign equity limited to 75% 
 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) Non-Saudi lawyers cannot appear in 
courts to plead cases 
(4) Unbound, except as indicated in the 
horizontal section  
b. Accounting, auditing and 
bookkeeping services  
 (CPC 8621 and 8622) c. Taxation services 
 (CPC 8630) 
d. Architectural services  (CPC 8671) 
e. Engineering services 
 (CPC 8672) 
f. Integrated engineering services 
 (CPC 8673) g. Urban planning and landscape 
architectural services 
 (CPC 8674) h. Medical and dental services 
 (CPC 9312) 
i. Veterinary services  (CPC 93201) (1) None 
(2) None 
(3) Foreign equity limited to 75% (4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section   
 WT/ACC/SAU/61/Add.2 
Page 12 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
B. Computer and Related Services  
 
a.-e. (CPC 841-45 and 849) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section  
C. Research and Development 
Services   
 
a.-c. (CPC 851, 852, 853) (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section  
E. Rental/Leasing Services without Operators  
a. Relating to ships             
 (CPC 83103) 
b. Relating to aircraft  (CPC 83104) 
c. Relating to other transport 
equipment 
 (CPC 83101+83102+83105) 
d. Relating to other machinery and    
equipment  
 (CPC 83106-83109) 
e. Leasing or rental services 
concerning household goods    
 (CPC 832) (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section  
F. Other Business Services  
a. Advertising services (CPC 8711) 
b. Market research services  
(CPC 86401) 
c. Management consulting services 
 (CPC 8650) d. Services related to management 
consulting (CPC 8660) 
e. Technical testing and analysis  
services (CPC 8676) 
f. Services incidental to agriculture, 
hunting and forestry (CPC 881) 
 (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section 
 (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section 
    
  WT/ACC/SAU/61/Add.2
 Page 13Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
h. Services incidental to mining 
(CPC 883+5115) 
i. Services incidental to manufacturing  
 (CPC 884 (except 88442)+885)  
j.   Services incidental to energy 
distribution  (CPC 887) 
m. Related to scientific and technical 
consulting services  
 (CPC 8675) 
n. Maintenance and repair of 
equipment (not including maritime vessels, aircraft or other transport 
equipment)    
 (CPC 633+8861-8866) p. Photographic services  
 (CPC 8750) 
q. Packaging services   (CPC 8760) 
r. Printing and publishing services 
(CPC 88442) 
s. Convention services  
 (CPC 87909)* t. Other (e.g. public  relations services) 
 - Translation services  
  (CPC 87905)  - Speciality design services 
  (CPC 87907)  
 WT/ACC/SAU/61/Add.2 
Page 14 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
2. COMMUNICATION SERVICES 
B. Courier services  
 (CPC 7512) 
 (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section - Foreign express delivery operators 
will have a treatment no less favourable than that accorded to the 
Postal Office for its activities in 
express delivery. 
- When Consultancy related to the 
provision of postal services 
(CPC 7511**) are privatized, they will also be opened for foreign 
service suppliers. 
C. Telecommunication services      
General conditions for this sub-sector:  The commitments taken by the Kingdom of Saudi Arabia are based on the scheduling princ iples provided by the following documents: 
Notes for scheduling Basic Telecom Services  Commitments (S/GBT/W/2/Rev.1) and Market  Access Limitations on  Spectrum Availabilit y (S/GBT/W/3).   
 
This commitment is subject to the following general conditions: 
 - The Kingdom of Saudi Arabia undertakes commitments as contained in the basic telecommunications reference paper, included in Annex. 
- Any telecom service supplied in Saudi Arab ia on a commercial presence basis (Mode 3)  must be supplied by a company registered  in Saudi Arabia, the foreign equity of 
which shall be limited to the percentage levels mentioned below.  
- This schedule on basic telecommunication does not include any broadcasting services
2.  
- Cross-border supply is subject to commer cial agreement with a legal entity/entities licensed or authorized by CITC in the Kin gdom of Saudi Arabia. 
1. Basic telecommunication services  
 
- Public Fixed – facilities-based 
 a.   Voice telephone services 
f.    Facsimile services 
i.    Voice mail  (1) None as of the end of 2006 
(2) None 
(3) None, except services offered as 
public telecommunications services must be provided by a joint stock 
company. Foreign equity is limited 
to 49% upon accession, to go to 51% by the end of 2007 and 60% by the 
end of 2008 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
  
 
  
 
(4) Unbound, except as indicated in the 
horizontal section  
                                                      
2 A broadcasting service is defined as a radio communication serv ice in which the transmissions are intended for direct receptio n by the general public, including sound 
transmissions, or television transmissions.  However, carrying a signal between broadcasting stations and transmitters is part of telecommunications services.  
  WT/ACC/SAU/61/Add.2
 Page 15Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 Public Fixed – non-facilities-based  
Private fixed – facilities-based or 
non-facilities based  
 
a. Voice telephone services f. Facsimile services 
i. Voice mail (1) None as of the end of 2006 
(2) None (3) None, except foreign equity shall be 
limited to 49% upon accession, to go 
to 51% by the end of 2006, and to 70% after 3 years from accession 
(4) Unbound, except as indicated in the 
horizontal section (1)   None 
(2)   None (3)   None 
 
  
(4) Unbound, except as indicated in the 
horizontal section    
2. Public or Private – facilities-based or 
non-facilities-based  
 
b. Packet-switched data transmission 
services   
c. Circuit-switched data transmission 
services 
d. Telex services 
e. Telegraph services 
g.  Private leased circuit services 
 
- Value-added services  
h. Electronic mail 
j. On-line information and data base 
retrieval 
k. Electronic data interchange (EDI) 
l. Enhanced/value-added facsimile 
services, including store and 
forward, store and retrieve 
m. Code and protocol conversion n. On-line information and/or data 
processing (incl. transaction 
processing) 
o. Paging 
p. Internet services (1) None 
(2) None 
(3) None, except foreign equity shall be 
limited to 49% upon accession, to go to 51% by the end of 2006, and to 
70% after 3 years from accession 
(4) Unbound, except as indicated in the 
horizontal section (1)    None 
(2)    None 
(3)    None 
  
 
(4) Unbound, except as indicated in the 
horizontal section   
 WT/ACC/SAU/61/Add.2 
Page 16 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
3. Others  
  Mobile telephone services  
 
A.1.  Public Mobile – facilities-based  
a. Voice 
f. Facsimile i. Voice mail 
 
 (1) None  
(2) None (3) None, except that mobile voice 
services offe red as a facilities-based 
public telecommunications service must be provided by a joint stock 
company. Foreign equity shall be 
limited to 49% upon accession, to go to 51% by the end of 2005 and 60% 
by the end 2008. 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
 
  
 
  
 
(4) Unbound, except as indicated in the 
horizontal section  
A.2. Private Mobile (facilities-based or 
non-facilities based) and Public 
Mobile non-facilities-based 
 
 a. Voice 
 f. Facsimile 
 i. Voice mail 
 Satellite services
3: 
 
- VSAT - GMPCS 
- Sale of satellite capacity to legal 
entities licensed or authorized by CITC to use such capacity in the 
Kingdom of Saudi Arabia. (1) None 
(2) None 
(3) None, except:    
 - Foreign equity shall be limited to 
49% upon accession, to go to 
51% by end of 2005, and to 70% 
after 3 years from accession.  
 - The number of licenses for 
VSAT services may be limited to 
5 until 1 January 2006. After that date, there will be no limit on the 
number of licenses.  
 (4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None  
 
 
 
  
 
  
 
 (4) Unbound, except as indicated in the 
horizontal section  
                                                      
3 The GMPCS and VSAT Satellite Operators shall be required until 1 January 2006 to pass traffic via STC network through transit a nd gateway exchanges, especially in the case of 
overseas communication from Saudi Arabia.   
  WT/ACC/SAU/61/Add.2
 Page 17Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
D. Audiovisual  Services 
1. References below to "home video entertainment" include, but are not limited to, video tapes and digitally encoded video. 
2. Nothing in this commitment shall require Saudi Arabia to pr ovide a means of exhibition or transmission of audiovisual servic es not offered by the Saudi Government to the 
public generally. 
a. Motion picture and home video 
entertainment distribution services  (CPC 96113) to other industries for 
public entertainment, television 
broadcasting, or sale or rental to others
4   (1) None 
(2) None (3) Unbound 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) Unbound 
(4) Unbound, except as indicated in the 
horizontal section  
b. Radio and television production and 
distribution  services (licensing of 
radio and television programs whether live, on tape, on other 
recording medium or on  digitally 
encoded video for subsequent broadcast, whether by terrestrial 
broadcasting, by satellite television, 
by cable, or by other similar 
medium, including DTH and DBS. 
These programs, and channels of programming, may be for 
entertainment, for promotion or 
plays that are norm ally produced in 
television studios.  Also included are 
products such as sports coverage, 
weather forecasting, interviews, etc.) (1) Unbound 
(2) None 
(3) Unbound (4) Unbound, except as indicated in the 
horizontal section (1) Unbound 
(2) None 
(3) Unbound (4) Unbound, except as indicated in the 
horizontal section  
                                                      
4 For purposes of clarity, this commitment relates only to the di stribution, i.e., licensing of mo tion pictures of videotapes, an d does not cover their television broadcast.   
 WT/ACC/SAU/61/Add.2 
Page 18 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
3. CONSTRUCTION AND RELATED ENGINEERING SERVICES  
A. General construction work for 
buildings 
 (CPC 512) 
B. General construction work for civil 
engineering 
 (CPC 513) 
C. Installation and assembly work 
 (CPC 516+514) D. Building completion and finishing 
work 
 (CPC 517) E. Other   
 (CPC 511, 515, 518) (1) Unbound* except for consultancy 
and advisory related services 
(2) None 
(3)  None 
(4) Unbound, except as indicated in the 
horizontal section (1) Unbound* except for consultancy 
and advisory related services 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section  
4. DISTRIBUTION SERVICES 
B. Wholesale trade services        
 (CPC 622, 6111, 6113, 6121)  
C. Retailing services 
 (CPC 631, 632, 6111, 6113, 6121 
and 613) 
  For purposes of this schedule 
wholesale and retail trade in country 
includes engaging private national individuals on a contract basis to sell 
products and services at retail for 
which compensation is received both for the sales effort and for sales 
support services that result in 
additional sales by other contracted distributors. (1) None 
(2) None (3) None, except: 
 - Foreign equity limited to 51% 
upon accession and to 75% after 
3 years from the date of 
accession. 
 -  Minimum foreign investment of 
Saudi Riyals 20 million by each 
service supplier. 
   - Minimum size of outlets may be    
prescribed. 
 - Minimum of 15% Saudi 
employees to be trained each 
year. 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
 
 
 
  
 
  
 
  
 
(4) Unbound, except as indicated in the 
horizontal section   
  WT/ACC/SAU/61/Add.2
 Page 19Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
D. Franchising 
 (CPC 8929)   
 
  
 (1) Unbound 
(2) None (3) None, except: 
 - Foreign equity limited to 51% 
upon accession and to 75% after 3 years from the date of 
accession. 
 - Foreigner should be authorized 
in his own country to practice 
franchising or be a partner in an 
authorized company for a period no less than five years without 
interruption. 
(4) Unbound, except as indicated in the 
horizontal section (1) Unbound 
(2) None (3) None 
 
  
 
  
 
  
 
(4)  Unbound, except as indicated in the 
horizontal section  
5. EDUCATIONAL SERVICES    
A. Primary education services      
 (CPC 921) 
B. Secondary education services 
(CPC 922) 
C. Higher education services       
(CPC 923) 
D. Adult education                       
(CPC 924) 
E.  Other  
(technical + Thai cooking and Thai 
language)                    (CPC 929) (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section   
 WT/ACC/SAU/61/Add.2 
Page 20 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
6. ENVIRONMENTAL SERVICES    
A. Sewage services 
 (CPC 94010) B. Refuse disposal services 
 (CPC 94020) 
C. Sanitation and similar services             
(CPC 9403) 
D. Other 
 - Cleaning services for exhaust gases     
(CPC 9404) 
- Nature and landscape protection 
services 
 (CPC 9406) 
- Noise abatement services    (CPC 9405) 
- Other environmental services 
(CPC 9409) 
 (including environmental impact 
assessment) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section   
  WT/ACC/SAU/61/Add.2
 Page 21Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
7. FINANCIAL SERVICES    
A. Insurance and Insurance-Related Services 
 (Market access allowed only for c ooperative insurance services)  
Foreign insurance service providers operatin g through a Saudi Arabian agent are allowed to operate, including the ability to co ntinue existing business operations without 
disruption, as well as to offer new products and servicing new clients, for a period of 3 years from the date of the Royal Decr ee No. 3120/MB dated 4/3/1426H (13 April 2005), 
and in accordance w ith that Decree. 
a. Protection and savings insurance5 
b. Non-life insurance  (General insurance and health 
insurance) 
c. Reinsurance and retrocession  d. Insurance Intermediation (Brokerage 
and Agency) 
e. Services auxiliary to insurance 
(consultancy, actuarial, risk 
assessment and claims settlement 
services) 
 
 
 
 
  
 
  
 
  
 
  
 
 (1) Unbound, except none for: 
  (b) Insurance of risks relating to 
marine shipping and commercial 
aviation and space launching and freight (including satellites), with 
such insurance to cover any or all 
of the following:  
  - the goods being transported, 
the vehicle transporting the 
goods and any liability arising there from. 
 -   Insurance of risks relating to 
goods in international transit. 
 (c) Reinsurance and retrocession. 
 (d) Brokerage and Agency.  (e) Services auxiliary to insurance 
consultancy, actuarial, risk 
assessment and claims settlement services. 
 
(2) None (3) For (a), (b), and (c) Commercial 
presence is permissible in the form 
of a locally incorporated cooperative insurance joint-stock company, or as 
an established direct branch of an 
international insurance company (1) Unbound, except none for: 
  (b) Insurance of risks relating to 
marine shipping and commercial 
aviation and space launching and freight (including satellites), with 
such insurance to cover any or all 
of the following:  
  - the goods being transported, the 
vehicle transporting the goods 
and any liability arising there from. 
 -   Insurance of risks relating to 
goods in international transit. 
 (c) Reinsurance and retrocession. 
 (d) Brokerage and Agency.  (e) Services auxiliary to insurance 
consultancy, actuarial, risk 
assessment and claims settlement services. 
 
(2) None (3) None 
 
  
 
  
 
                                                      
5 As defined in Article 3, Part 3:1-3 of the Cooperative Insu rance Companies Control Law Impl ementing Regulations, published 25 A pril 2004, including protect ion against longevity.   
 WT/ACC/SAU/61/Add.2 
Page 22 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
 
 operating in Saudi Arabia as a 
cooperative insurance provider6. 
Non-Saudi participation in the joint-
stock company in Saudi Arabia is 
permitted up to 60% from the date of accession. 
 
 For (d) Commercial presence is 
permissible in the form of a locally 
incorporated joint-stock company or 
a limited liability company. Non-Saudi participation is permitted up to 
60% from the date of accession.  
  For (e) Commercial presence for 
claims services and risk assessment 
is permissible in the form of a locally incorporated joint-stock 
company or a limited liability 
company. Non-Saudi participation is 
permitted up to 60% from the date of 
accession. For actuarial and consultancy commercial presence is 
permitted as a natural person or a 
juristic entity. 
 
(4) Unbound, except as indicated in the 
horizontal section  
  
 
  
 
  
 
  
 
  
 
  
 
 
 
  
 
  
(4) Unbound, except as indicated in the 
horizontal section 
B. Banking and other financial  services  (excluding insurance) 
a. Acceptance of deposits and other 
repayable funds from the public 
b.  Lending of all types, including 
consumer credit, mortgage credit, factoring and financing of 
commercial transaction (1)   Unbound, except for 'l.',  'k.' and, 
under 'i.', only for cash or portfolio 
management, all forms of collective 
investment, custodial, depository and trust services to be provided by 
institutions to institutional clients, (1) Unbound, except as indicated in the 
M.A. column 
 
  
  
 
 
  
 
                                                                                                                                                                                                                                                                    
6 For clarity's sake, branches of foreign insurance companies operating as cooperative insurance providers are not required to op erate as joint-stock companies in Saudi Arabia.   
  WT/ACC/SAU/61/Add.2
 Page 23Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
c.  Financial leasing 
d. All payment and money 
transmission services, including 
credit, charge and debit cards, 
travellers cheques and bankers drafts 
e.  Guarantees and commitments 
f.  Trading for own account or for 
account of customers, whether on an exchange, in  an over-the-counter 
market or otherwise, the following: 
- money market instruments 
(including cheques, bills, 
certificates of deposits); 
- foreign exchange; - derivative products including, 
but not limited to, futures and 
options; 
- exchange rate and interest rate  
instruments,  including  
products such as swaps, 
forward rate agreements; 
- transferable securities; - other negotiable instruments 
and financial assets, including 
bullion. 
g. participation in issues of all kinds of 
securities, including underwriting 
and placement as agent (whether publicly or privately) and provision 
of services related to such issues 
h. Money broking i. Asset management, such as cash or 
portfolio management, all forms of 
collective investment management, pension fund management, custodial, 
depository and trust services 
j. Settlement and clearing services for 
financial assets, including securities, including collective investment 
schemes, upon accession. 
(2)   None, except unbound for pension 
fund management under 'i.' and all 
domestic settlement and clearing services provided exclusively by 
SAMA under 'j.'. This also limits 
national treatment. 
(3)  None, except: 
 - Commercial presence of banks is 
permissible in the form of a locally incorporated joint-stock 
company or as a branch of an 
international bank. 
 - Non-Saudi participation in a 
joint-venture in Saudi Arabia is 
permitted up to 60% from the date of accession. 
 - These financial services are to be   
provided by commercial banks 
except that asset management 'i.' 
and advisory services 'k.' may be provided by non-commercial 
banking financial institutions 
under the capital market law. 
 - Unbound for pension fund 
management under 'i.'. This also 
limits national treatment. 
 - Unbound for all domestic 
settlement and clearing services 
provided exclusively by SAMA under 'j.'. This also limits 
national treatment. 
 (4) Unbound, except as indicated in the 
horizontal section  
 (2) None  
 
  
 
 (3) None 
 
  
 
  
 
  
 
 
 
  
 
  
 
  
 
  
 
 (4) Unbound, except as indicated in the 
horizontal section  
 
When pension schemes supplementary to 
the public pension scheme are provided 
by Saudi Financial institutions, it will also be open for foreign service suppliers for 
mode (2) and (3) only.   
 WT/ACC/SAU/61/Add.2 
Page 24 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
derivative products, and other 
negotiable instruments 
k. Advisory and other auxiliary 
financial services on all the activities 
listed in sub paragraphs 'a.' through 'l.', including credit reference and 
analysis, investment and portfolio 
research and advice, advice on acquisitions and on corporate 
restructuring and strategy 
l. Provision and transfer of financial 
information, and financial data 
processing and related software.  
8. HEALTH RELATED AND OTHER SERVICES 
A. Hospital services 
 (CPC 9311) (1) Unbound*  
(2) None (3) None, except subject to formation of 
a company between a foreign 
hospital company  and a licensed 
Saudi medical professional 
(4) Unbound, except as indicated in the 
horizontal section (1) Unbound* 
(2) None (3) None 
 
 
 
(4) Unbound, except as indicated in the 
horizontal section  
B. Other human health services 
 (CPC 9319, except 93191) 
  
 
  
 (1) Unbound*  
(2) None 
(3) None, except subject to formation of 
a company between a foreign health 
company and a licensed Saudi 
medical professional 
(4) Unbound, except as indicated in the 
horizontal section (1) Unbound* 
(2) None 
(3) None  
 
 (4) Unbound, except as indicated in the 
horizontal section   
  WT/ACC/SAU/61/Add.2
 Page 25Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
9.  TOURISM AND TRAVEL RELATED SERVICES 
A. Hotels and restaurants (including 
catering) 
 (CPC 64110, 64120, 642 & 643) 
 (Except bars, nightclubs, etc.) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section  
B. Travel agencies and tour operators 
services 
 (CPC 7471)  
 (excluding for Umra and Hajj) (1) None 
(2) None 
(3) None, except economic needs test 
applied to travel agencies only, based on the ratio of total population to the 
number of travel agencies 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
  
 
(4) Unbound, except as indicated in the 
horizontal section  
C. Tourist guides services 
 (CPC 74720) 
 (excluding for Umra and Hajj) (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section  
10. RECREATIONAL CULTURAL AND SPORTING SERVICES 
B. News agency services 
 (CPC 962) 
 
D. Recreational services   (CPC 96491) 
 (Only parks and public gardens  
services) (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section   
 WT/ACC/SAU/61/Add.2 
Page 26 Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
11. TRANSPORT SERVICES 
A. Maritime Transport Services 
a. Passenger transportation  
 (CPC 7211)  
b. Freight transportation  
 (CPC 7212) c. Rental of vessels with crew  
 (CPC 72130) 
d. Maintenance and repair of vessels        (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section The following services at the port are 
made available to international maritime transport suppliers on  reasonable and non-
discriminatory terms and conditions: 
- port and waterway operation 
services (excluding cargo handling) 
- pilotage and perthing services; 
- navigation aid services; - vessel salvage and re-floating 
services; 
- all other supporting services for 
water transport. 
C.  Air Transport Services  
d. Maintenance and repair of aircraft 
e. Supporting services for air transport 
(CPC 746) 
- Computer reservation system (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None (4) Unbound, except as indicated in the 
horizontal section  
E. Rail Transport Services 
a. Passenger transportation  
 (CPC 7111) 
b. Freight transportation   (CPC 7112) 
c. Pushing and towing services 
 (CPC 7130) d. Maintenance and repair of rail 
transport equipment        
 (CPC 8868) e. Supporting services for rail transport 
services         
 (CPC 743) (1) None 
(2) None 
(3) Foreign investment in the form of 
Build, Operate and Transfer  (BOT) arrangement 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
  
(4) Unbound, except as indicated in the 
horizontal section  
G. Pipeline transport 
a. Transportation of fuels       
 (CPC 7131) 
b. Transportation of other goods   (CPC 7139)   (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in the 
horizontal section   
  WT/ACC/SAU/61/Add.2
 Page 27Modes of supply:   (1)   Cross-border supply;    (2)   Consumptio n abroad;    (3)   Commercial pr esence;    (4)   Presence of n atural persons. 
Sector or Sub-sector Limitation on market access Lim itations on national treatment Additional commitments 
H. Services auxiliary to all modes of 
transport   
(limited to maritime, rail, and air 
transport services in accordance with 
the Annex on Air Transport Services)  
a. Cargo handling services  
 (CPC 741) b. Storage and warehouse services 
(CPC 742) 
c. Freight transport agency services     (CPC 748) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in the 
horizontal section The services related to CPC 749 are 
currently provided by the public sector.  As far as market access to services 
included in CPC 749 become open under 
the Saudi legislation to private entities, national treatment will be granted. 
 WT/ACC/SAU/61/Add.2 
Page 28  
 
 REFERENCE PAPER
 
 Scope
 
The following are definitions and principles on the regulatory framework for the basic 
telecommunications services.   
Definitions  
Users  mean service consumers and service suppliers.   
Essential facilities  mean facilities of a public telecommunications transport network or service that 
(a) are exclusively or predominantly provided by a single or limited number of suppliers;  
and 
 (b) cannot feasibly be economically or tec hnically substituted in order to provide a 
service. 
 A major supplier  is a supplier which has the ability to materially affect the terms of 
participation (having regard to price and supply) in the relevant market for basic 
telecommunications services as a result of: 
 (a) control over essential facilities;  or 
 (b) use of its position in the market. 
1. Competitive safeguards  
1.1 Prevention of anti-competitive practices in telecommunications  
 Appropriate measures shall be maintained for the purpose of preventing suppliers who, alone 
or together, are a major supplier from engaging  in or continuing anti-competitive practices. 
1.2 Safeguards  
 The anti-competitive practices referred to above shall include in particular:  (a) engaging in anti-competitive cross-subsidization;   
 (b) using information obtained from comp etitors with anti-competitive results;  and 
 (c) not making available to other services suppliers on a timely basis technical 
information about essential facilities and comm ercially relevant information which 
are necessary for them to provide services.  
2. Interconnection
 
2.1 This section applies to linking with supplie rs providing public telecommunications transport 
networks or services in order to allow the user s of one supplier to communicate with users of 
another supplier and to access services provi ded by another supplier, where specific 
commitments are undertaken.  WT/ACC/SAU/61/Add.2 
 Page 29 
 
 
 2.2 Interconnection to be ensured  
 Interconnection with a major supplier will be en sured at any technically feasible point in the 
network.  Such interconnection is provided: 
 (a) Under non-discriminatory terms, cond itions (including technical standards and 
specifications) and rates and of a quality no l ess favourable than that provided for its 
own like services or for like services of non-affiliated service suppliers or for its 
subsidiaries or other affiliates; 
 (b) In a timely fashion, on terms, c onditions (including technical standards and 
specifications) and cost-oriented rates that ar e transparent, reasonable, having regard 
to economic feasibility, and sufficiently unbundl ed so that the supplier need not pay 
for network components or facilities that it does not require for the service to be 
provided;  and 
 (c) Upon request, at points in addition to th e network termination points offered to the 
majority of users, subject to charges that reflect the cost of construction of necessary additional facilities. 
2.3 Public availability of the pro cedures for interconnection negotiations
 
 The procedures applicable for interconnecti on to a major supplier will be made publicly 
available. 
2.4 Transparency of interconnection arrangements  
 It is ensured that a major supplier will make  publicly available either its interconnection 
agreements or a reference interconnection offer. 
2.5 Interconnection:  dispute settlement  
 A service supplier requesting interconnection with  a major supplier will have recourse, either: 
 (a) At any time; or 
 (b) After a reasonable period of time which has been made publicly known to an 
independent domestic body, which may be a regulatory body as referred to in 
paragraph 5 below, to resolve disputes re garding appropriate terms, conditions and 
rates for interconnection within a reasonable period of time, to the extent that these 
have not been established previously. 
3. Universal service  
 Any Member has the right to define the ki nd of universal service obligation it wishes to 
maintain.  Such obligations will not  be regarded as anti-competitive per se , provided they are 
administered in a transparent, non-discrimin atory and competitively neutral manner and are 
not more burdensome than necessary for the kind of universal service defined by the Member.      WT/ACC/SAU/61/Add.2 
Page 30  
 
 4. Public availability of licensing criteria
 
 Where a licence is required, the following will be made publicly available:  (a) all the licensing criteria and the period of time normally required to reach a decision 
concerning an application for a licence;  and 
 (b) the terms and conditions of  individual licences. 
 The reasons for the denial of a licence will be  made known to the applicant upon request. 
5. Independent regulators
 
 The regulatory body is separate from, and not accountable to, any supplier of basic 
telecommunications services.  The decisions of and the procedures used by regulators shall be 
impartial with respect to all market participants. 
6. Allocation and use of scarce resources  
 Any procedures for the allocation and use of s carce resources, including frequencies, numbers 
and rights of way, will be carried out in an objective, timely, transparent and non-discriminatory manner.  The current state of allocated frequency bands will be made publicly 
available, but detailed identification of freque ncies allocated for speci fic government uses is 
not required.  
  WT/ACC/SAU/61/Add.2
 Page 31List of Article II (MFN) Exemptions  
 
 
Sector or sub-sector 
 Description of measure indicating its  
inconsistency with Article II Countries to which the 
measure applies Intended duration Conditions creating the need 
for the exemption 
Road Transport Services Reciprocal pr eferential treatment for cross-border 
services Egypt, Jordan Indefinite Existing bilateral agreements 
Maritime Shipping and Road 
Transport Services Preference for use of nationa l shipping lines and road 
transport vehicles in bilateral trade Egypt, Tunisia Indefinite Existing bilateral agreements 
Road Transport Services Reciprocal prefer ential treatment Lebanon, Syria, Turkey Indefinite Existing bilateral agreements 
 
 
__________